XRP witnessed a notable breakout today, registering a 12% rise after nearly a week of stagnant price movements. The surge came as investors took advantage of last week’s discounted prices to spark new bullish momentum across the market.
This accumulation phase appears to have strengthened the short-term price structure of XRP.
XRP investors pull altcoins higher
Over the past seven days, XRP balances on exchanges have decreased significantly, suggesting a shift towards accumulation. On-chain data shows that investors withdrew approximately 216 million XRP worth more than $556 million from the trading platform. This large move suggests strong confidence in future price gains, limiting any immediate selling pressure.
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The effects of this accumulation are now being felt in XRP’s upward trajectory. If this trend continues, the rally in cryptocurrencies is likely to extend even further as reduced supply on exchanges is matched by increased demand.
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The broader technological outlook supports this recovery story. The Relative Strength Index (RSI) is currently rising and is above the neutral mark of 50.0, indicating increasing bullish momentum. This suggests that buyers are regaining control and is an important development to keep XRP price above key support levels.
As bullish momentum increases, investor optimism is expected to increase as well. The current RSI position indicates that XRP can maintain upward pressure without entering overbought territory too soon.
XRP price is progressing
XRP price has increased 12% in the past 24 hours and is trading at $2.55 at the time of writing. The altcoin is working to establish $2.52 as a solid support level after recovering from its recent consolidation phase.
If the bullish sentiment persists, XRP could attempt another breakout towards the resistance at $2.64, a level it failed to break twice last month. A successful move above $2.64 could push the price towards $2.75 and strengthen the recovery trend.
However, failure to break above $2.64 could cause momentum to weaken and XRP to fall below $2.52 and retest the $2.36 support zone. Such a decline would invalidate the bullish theory and signal another consolidation.
